The European Central Bank must remain alert with core inflation proving “sticky,” according to Governing Council member Joachim Nagel.
(Bloomberg) — The European Central Bank must remain alert with core inflation proving “sticky,” according to Governing Council member Joachim Nagel.
Describing euro-zone price gains as “a very stubborn phenomenon,” the Bundesbank president told CNBC late Wednesday that “it’s definitely the case that we on the monetary-policy side we have to be even more stubborn to fight against inflation.”
Nagel also said:
- “We have to do more on the inflation front, this is also for sure”
- “Core inflation is still on this very elevated level and so I believe that will take time until core is coming down. But the headline inflation is maybe giving the right direction”
- “I see that core is coming down maybe before the summer but for the next months I believe it will stay on rather high levels and this is the reason why we have to stay really alert when it comes to the inflation story”
- On German economy: “Maybe the first quarter could be a weak quarter but the rest of the year seems to be pretty good so we’re ending up with a tiny plus”
- “The energy crisis is more or less solved”
- “This was a mild winter but also Germany did a lot to overcome this dependency regarding Russian gas. There’s not dependency any more”
- Click here to watch full interview
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